do fixed deposit rates change?
Yes, Fixed Deposit (FD) interest rates can change. Banks and NBFCs in India revise FD rates periodically based on factors like market interest rates, RBI policy changes, and liquidity conditions.
When you open an FD, the rate of interest is fixed for the tenure you choose. However, new FDs opened after a rate change will earn interest at the current rate offered by the bank, not the rate when you opened your previous FD.
While your existing FD continues to earn the rate agreed at the time of opening, future FDs may offer higher or lower interest depending on market conditions.
FD rates change often, but your money in an active FD remains secure with the agreed interest rate, making it a safe and predictable investment.